Compliance Policy

Summary

The Ranbaxy Pharmaceuticals Canada Inc (RPCI) Compliance was created to assist the board of directors of Ranbaxy Laboratories Ltd and its subsidiaries in overseeing and responding to compliance issues affecting the Company and is one of the mechanisms utilized by the Company to receive information concerning compliance with laws and regulations governing the Company’s business.

As part of the Program, the Company has developed and continues to review policies and procedures through which the Company complies with the various federal and provincial laws affecting the Company, including the framework necessary to ensure an effective compliance program to prevent and detect violations of the law. To that end, the Company has established a Compliance Committee which reports to the Board of Directors of the Company, and will function to support: (i) compliance by the Company with legal and regulatory requirements; (ii) adherence by the Company with the highest ethical standards in all business activities, including, without limitation, the Company’s Code of Conduct; (iii) assessment of the Company’s compliance risks; (iv) development of uniform disciplinary standards for compliance failures; and (v) each of the Company’s departments in preparing a compliance risk assessment.

The composition of the Compliance Committee includes at least one representative from the various functional areas, including, without limitation, Legal, Finance & Accounting, Human Resources, Sales & Marketing, Regulatory Affairs and Corporate Governance. The Compliance Committee is endeavored to meet on a periodic basis. The Compliance Committee is charged with communicating to the board of directors of the Company regarding compliance and adherence with laws, regulations and the Company’s own policies, and will oversee and provide guidance on the implementation of the Program, including proactive training of employees and communication programs. The training programs will include education designed to ensure employees have an awareness of legal requirements that are relevant to their work at a level of detail appropriate to their job functions.

Employees of the Company are encouraged to address questions or concerns with management. The employee may also direct questions or concerns regarding the Company’s standards of conduct to ethics advisors or to the Company’s Ethics Hotline. Retaliation against employees who raise concerns to any Company source will not be tolerated, and retaliation against any employee for proper use of the reporting mechanisms is cause for appropriate corrective action.